Detailed Summary

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Status of the Legislation

Latest Major Action: 2/23/2010: Referred to House committee. Status: Referred to the Committee on Ways and Means, and in addition to the Committees on the Budget, Rules, and Appropriations, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Points in Favor

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Points Against

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Daryl L. Brunner

Ashley Hestand

Daryl - We need to lower out debt, you are right its not fair we should have to pay more and more to sustain spending and debt from congress however as you will see if you read Section 6 of the bill is that eventually this will replace Income tax so that you won't be paying that anymore. While in the short term it will be more tax burden eventually we will transition to only a transaction tax which will be more fair. We need to clean up our national debt and take responsibility so that things don't worsen and our children don't have to deal with that.

Glen A. Gill

A 1% tax on retail and wholesale purchases with the aim of reducing or eliminating the Federal Income Tax is one thing. However, the serious, disturbing, part is the tax on financial transactions (check cashing, direct deposits, use of an ATM, stock purchases, etc.) is completely unacceptable. Congress will see a huge backlash if the tax on financial transactions remains in the bill.

C Bennett

So, let me see if I understand this correctly. For the next seven years, the government will continue to take almost a third of my paycheck in various taxes. Then when I deposit the balance, they will tax it again. If I move it from a savings account, into a checking account to pay my bills or take out cash from an ATM, they will tax it again. Then, each time I pay a bill or buy food or anything else for my family, they will tax the money again. How many times can they tax the same money? And what is to stop them from raising the percentage and/or extending the dual tax system beyond seven years? People already cannot afford their homes and jobs are disappearing. This will only make it worse for everyone.

Earl

T Peterson

Also, if they choose to pass this asinine (def: Utterly stupid or silly: asinine behavior.

Of, relating to, or resembling an ass.) bill, I will pull ALL my money out of the banks! The gov is getting enough of my money as it is and all they do with it is flush it down the toilet! NO MORE!!! Enough is enough! Obama's change is here and it isn't pretty or good!

Max

I have already lost over 65% of my income due to the death of a spouse. I cannot afford more taxes in any form. History shows that the only thing the government can be relied on to do is to take more money from the hard-working little guy every chance it gets under the guise of "helping us" but in truth, enslaving us.

Three actions would help get this nation on the road to recovery:

1. Stop the spending and make individuals responsible for their actions/decisions.

2. Replace the income tax with the Fair tax

3. Throw all incumbents who refuse to listen to the voice of the people out of office and set term limits.

ePluribus Unum

Seems to me most comments are from people who love being pandered to by Politicians who would rather tell us what we want to hear - we can Cut Taxes with no consequences for anyone of us - instead of what we need to hear, which is we are all in this sinking boat together; everyone has to 'bail' [pay their fair share] or, together, we will sink.

The 'Fair Tax'? What is that?

Karen F

Just another redistribution of wealth that this Administration is so fond of. You can bet EBT card transactions won't be taxed. This Administration needs to stop the spending. Cut taxes, not just extend the existing tax rate but make a real cut. This is our money and we need to stand up to the government and say enough is enough!

We need to establish an environment where businesses can compete and create jobs for Americans. No more bail outs and pandering to unions.

Get out and vote these career politicians out! Everyone needs to pay their fair share - no nanny state here.

Blood from a stone

I second C Bennett--this can't work. Historically when something like this is introduced, the tax that was supposed to 'go away' is forgotten, adding to our already overwhelming burden. Taxing EVERY transaction is insane. I agree that there will be cash hoarding and a new black market. What the *** are they thinking??? Let's just bring the hemorraging economy to a screeching halt. Who is this legislator anyway??? Unbelievable.... Maybe we should tax the transactions for the investors that are scooping up all the foreclosure homes instead. Essentially the people with the money are grabbing all the real estate now while millions of Americans are losing their homes. It seems to me a transaction fee on those purchases would be helpful as they obviously have the money so what's another 1%? But taxing us to put our money in the bank? And to take it out to buy a loaf of bread? Seriously??? It never ends.

Bob Stiefvater

Bob Hill

Seriously, seniors can not stand another tax increase, our S.S. stayed the same and Medicare and Insurance increased causing most of us to curtail our food purchase and causing late payments to our creditors.

Did not the President tell us (18 months ago) that the stimulus would not cause a tax increase and yet the stimulus money is not even half used? Why don't they (the Democrats who relay started this mess contrary to the BS they tell us) put the money back into the treasury and stop trying to create a communist state of our country. If the President and his cronies (Pelosi and others) want to be communist they should go to a country that will welcome them and stop hiding behind Our Constitution and trying to

shove their political agenda down our throaywktrts.

Bob Hill

Our political leaders want the American people to give back 1% of every transaction we do at our banks and ATM machines. A retired couple receiving $1,500.00 a month SS. and it’s deposited in their bank (one transaction) this amounts to $15.00 per month. For every transaction Cash, Check, ATM, Credit, Transfers, etc there will be a 1% Tax:

With a monthly income of $1,500.00 (Gross):

$15.00 for Direct Deposit of SS

$ 2.00 for Food of ($200)

$ .90 for Car gas ($90)

$ 7.00 for Housing ($700)

$ 5.00 for Utilities ($500)

This tax totals $21.90 per month, not much. But, the couple are now $11.90 over drawn and their bank will charge them $30.00 to $40.00 for each transaction over the deposited into their bank account, ($1,500.00 - $15.00 = $1,485.00). If this continues it won’t be long before we are a socialist state and Big Brother will have to take of all of us.

Grey Soldier

In casino games the house takes a cut from every hand played. Players can start with thousands of dollars, but by the time the game ends, the winner has only a few bucks. Who wants to LIVE IN A CASINO? Note this is NOT the Fair Tax. The REAL Fair Tax only taxes new purchases, not sale of used items, and definitely not transactions! This tax would commit slow-motion robbery on every single person: the elderly on fixed income, the child, the poor, and yes even the hated rich! Every turn of the money will slowly sip away every penny until the Gov't House has all the money! Then you will have to go hat-in-hand to the Gov't to beg for a living. No one else will have any money to pay you but them! Don't be fooled by this con game. If you think this will replace the income tax, you haven't lived here very long. Only the FAIR TAX fully enacted will SHUT DOWN the audit-crazy IRS and make April 15th just another day. Tell these tax insane bastards HELL NO! PASS THE FAIR TAX or LOSE YOUR SEAT!

Clif West

It's not the big purchases that will get you in the end. It's the everyday purchases that will add up. Also, whenever you SELL that car or house, you will get taxed AGAIN, in that whoever buys it has to pay tax on that item again, which is again a tax on YOU in that you are cut that much of the sale price. That is called TAXATION upon TAXATION, or TAX ON TAX. Did you get any more representation for paying that extra tax? That's called TAXATION WITHOUT REPRESENTATION. Buy Gold? Get TAXED. Sell that gold? GET TAXED. Hire a plumber? GET TAXED. Buy a used car, GET TAXED. Sell that used car- GET TAXED. Who is getting rich here? It ain't you buddy, it's the spendthrifts in Washington who will be rolling high. Then that 1% won't be enough will it? Maybe 2%, 3%,...? They can't stop spending our money. It buys them perks and privileges so they can live higher than us peons. It buys them VOTES. This never-ending tax on taxes is not the answer. STOP THE SPENDING.

Bill Whitfield

What HAIRBRAINED...STUPID...IDIOT politician (excuse me, I repeat myself!) came up with this beyond ludicrous notion??? (yes I saw a Mr FATHEAD credited earlier, so the question is rhetorical) In any case, the most that can be said in its favor is that it begs for reintroducing tar and feathering as a suitable public response!

But not to worry folks, even alleged left-leaning Snopes says "...the bill has no backers and has as much chance of passing as a snowball has of surviving hell." http://www.snopes.com/politics/taxes/debtfree.asp

Left-Leaning Snope

You know, ease up on the Fox news people. Those idiots (as you say) in Washington are keeping you out of cardboard boxes and bread lines. They're spending is to keep us out of what was to be the next Great Depression. Thank god there's only two terms. Now go back to your Glen Beck and get all fired up over the some more bogus facts that nobody bothered to reference. You still have your guns and ammo. Go re-load and please do a visual inspection of the barrel after you load it.

Sam Snead

I figure it as a 3% tax at most as long as they don't raise it. I am not sure who will pay for the direct deposit that I receive from my employer, but lets just say I do - That is 1%, Next I withdraw my entire check 1% then I spend my check for the month another 1%. There you have it 3% total of my earnings, am I happy about it? No but I can deal. However if I had more money to move around and make investments I am guessing it would really begin to hit me. Especially since my nest egg it sort of big and a 2% (1% out 1% in) transaction there would hurt but at least it will stabilize the market no more jumping in and out.

Offset by a non refundable income tax credit - So I read this a chance to recoup some of the fees up to the taxes I paid minus my liability, So I will get back what I put in. This is in a sense us giving the gov a loan. They collect on the front end and we get it back, at least up to what we put in. It not that bad for the average person.

George Washington

Abe Lincoln

If you really believe this will eventually replace the income tax, like "Hussein Obama" posted in his comment section below, you are a freaking idiot. They tell us that so we'll all be for it then zap, we find out they lied to us. Everything the gov't tells us is a lie...all lies!

Maria T. Aguilar

Tennessee Senior Gal

WHAT?? Are they insane? I am a senior citizen whose husband is disabled due to an incompetent surgeon (he got his money, BIG TIME). Now they want to tax us more? I didn't vote for the idiots but the majority of America did so who is at fault? I will give them their 1% taxes if they will all meet at a public forum where "stoning" will be the featured event and I can cast the 1st stone (a 500# boulder).

America wake up before its too late. Next election, check out the candidates 1st before you decide you want to "go with the flow"!

km

A national sales tax instead of an income tax (aka the fair tax) will be much better. This 1% bullcrap is going to make a lot of americans pissed more than they are now. If this passes I don't think Muslim Terrorists are going to be as big of a problem for the government since people born right here will be pissed off enough to shed the blood of those who pass such a stupid law. If you think our economy is bad now... wait till after this goes into effect and let me know how the greatest depression the world has ever known works out for you.

Fed up tax payer

This bill is just another confication of more private property. This government has run amuck and wants the tax payer to bail it out. Most of the people in Washington have never had a real job except for spunging off the hard working tax payer. They are the ruling elite class. It is time we got rid of them and put people in office that have held jobs, run businesses, come to money the hard way by earning it. They may be able to manage this country back to its feet. The jackles in power now want to bring the USA to its knees and then have it's people look to the government for all their needs.I am feed up and Iam not going to take it any more. Let the jackles know that we are coming for them on Nov 2. Are ya with me?

Jenna

WAKE UP!!! Have you read this bill? Eliminate Income Tax? We'll be begging to have it back. Think about this: 1% tax on EVERY transaction you make, EVERY day-bank transactions, purchases-EVERYTHING. Anytime you make a bank deposit, write a check, use your credit card, etc., 1% of YOUR money goes to OUR government to provide the means for their continued irresponsible spending. THINK! 1% X every transaction, every day = ? Most of us make several transactions per day! Say you make 10 transactions in a day: that's 10% tax going to OUR government. 10%! Do you have any idea how quickly that adds up? It will far surpass any income tax we've ever been required to pay.

Keep in mind that once a bill like this becomes law, it will eventually become "necessary" for OUR government to raise that 1% tax. Yes, OUR government needs to be fiscally responsible, but if we ran our household finances the way they run this country's, we'd be bankrupt. OUR government must also be responsible to us.

worried

Dee W

This is taxation that is reprehensible to the American people. It takes one dollar and taxes it so many times that not much is left over. Speak up people! Call/write/text your reps and the Pres. Vote! We must stop the insanity!

BAGoodVoter

Tell everyone you know to start getting up off there butts. Read about the candidates and get out there and VOTE already. All the new people here in America don't really know how to go about being involved and we need to spread the word for all of our sakes!

Enviromentally Friendly

The HR 4646 seems to have been introduced by Rep Peter deFazip (Dem-Oregon) and Senator Tom Harkin (Dem-Iowa). This idea is absolutely insane. Don't they realize that their financial transactions will be taxed as well? Or do they get immunity?? I guess the government is trying practice what they preach by Environmentally Friendly & Recycling. They are recycling our money, little by little. As far as hoarding goes, yes, there will be more hoarding and the crime rate will dramatically increase!! You can't steal what's not there, but if it is, all the more reason for these criminals to be on the prowl.

Will Soon Die

If this bill gets passed I can make funeral plans now. I will not be able to pay for my heart and diabetes medications anymore since I'm on a fixed income. Wait. THIS is Obamacare and no new taxes all rolled up in one.

Dick Nixon

This strikes me as a clever way to get government's straw linked up to all financial accounts. Paying the debt and replacing the current system is only cover for their real intentions. Once linked to all financial institutions, they will have the power of changing it with a 2/3 majority vote. Do you trust politicians with your money? Show me any instance where politicians deserve this power. Don't be fooled folks. They put the candy out there to lure you into this trap. Once you are in it, you'll never get out.

Worker Bee

Irene Ruler

As a senior, we are not getting any Social Security increase for the 3rd year in a roll. Now you want to tax us for transactions. The government is suppose to be for the people. What happened? So disappointed in our current government.

KWK

FOR THE LAST TWO YEARS, WE, THE SENIORS ON SOCIAL SECURITY HAVE NOT EVEN RECEIVED A 1% INCREASE, YET DURING THE SAME TIME PERIOD THE WALL STREET MOGULS HAVE REAPED MILLIONS IN RAISES, AND CORRUPT CORPORATE INSTITUTIONS HAVE RECEIVED A WINDFALL FROM OUR GOVERNMENT.

This defies ALL logic to my way of thinking. The way we can jump start this economy is to bail out average citizens - we are the people that the spend money to generate more demand for goods and services, and thereby more jobs.

GB

Regardless if you like or don't like taxes (who really does tho a necessary evil most will admit), a transaction tax would be a disaster for the ecomony. The Fed is considering flooding the banking system with another $1+trillion with QE2,not because of a LACK of money in the system but because of a lack of VELOCITY of money in the system. Those who paid attention during Econ 101 know that economic growth is created by,and measured as the volume of economic activity, ie how much money there is and how often it gets spent, invested, respent, etc. Tax every transaction & guess what we'll get: fewer transactions thus less economic activity. If you think minus 1%-2% GDP was bad beware; if this passes reported economic activity will plummet & be replaced by a black market/barter system simply because it'll be cheaper. This Bill my well be a well-intended way to address the deficit (emphasize "may be") but beware unintended consequences. We've had enough of those for 1 ecomonic cycle.

CG

I went back and re-read the constitution, the declaration of independence, and the first several amendments to see if they could really do this to us and unfortunately it seems that they can. It will cripple the banking industry, retail, and the lucky few of us that have jobs now most likely will loose them if this bill gets passed. I don't think it is right to tax us multiple times on the same money. It's just greed, plain and simple. Yes, our nation is in debt, but it's the greedy bastards in power that put us there.

I think everyone, including the President, Congress, and the House of Representatives need to go back and read the first two paragraphs of the Declaration of Independence. This tax will be like Britain all over again. Our founding fathers broke away for a reason.

onlyme

Usurper Girl by The Beach Boys

Govt won't ever eliminate the debt, you give the fed another tax and Obama will spend trillions more. The answer is to default, end the fed and eliminate all forms of usury and all forms of entitlement.

Hakx

The USA ended in 1859. Since then it has been controlled by European banks. Isn't it a riot that the US Govt has to pay a fee plus interest to a foreign 3rd party middleman (Fed aka IMF, UN, CFR) for its own money

Kathy M

I work for my pay like most normal Americans. Sick to death of the Obama government sticking their dirty hands in my pocket and trying to take more and more. Enough already, We thee people... HAVE HAD ENOUGH. Vote them out!!

Rick S

I say get this bill exposed ASAP to the voters now and let them vote out the greedy slime balls that support this fleecing of Americans. If this bill is enacted it will then be elidgable to be modified or the tax rate increased without our knowledge. This skulldugery needs to be put to an end, hence the term "vote em out"

JSUNBurns

Harriet R

I hope all of those who bought into the Obama craze, despite all the warnings, now realize how foolish you were. This is the type of "change" we were all warned about. Notice that again, this taxing bill is sponsored by a Democrat. Our only survival is by voting out the liberal and taxing members of congress: (Pelosi, Reid, Barney Frank and so on.)and NOT giving Obama a second term. This Nov, vote in the Tea Party & Republican candidates. They may not be perfect, but they don't tax the hell out of us and will repeal this stuff Obama care.

Harry B.

I am a skeptic of any infromation that I get to hear of or read about what is going on in Washington DC.

However, on the otherhand anything could be possible. So,if HR4646 is for real? That HR 4646 is bad.I am a senior Just trying to make it from day to day.What in gods sake do law makers think? That the Ordinary citizen is stupid? (I would like to express my self in the harhest terms that one could ever imagine. However I do not think that would be proper.)

RS

fem

This bill would take away from the American people who are drowning right now as it would take 1% of unemployment, social security, retirement, and those getting other assistance as well as the struggling masses whose income has shrunk the last 8 years due to inflation and high fuel prices.

NH

Yeh, they add another tax and make it a law and can increase it anytime they want. Sure they say they will do away with income tax but did you ever see them take away a tax. No they just keep adding. We the people better keep alert and start standing up for our rights while we still can.

Marilyn C

The time to get your Knickers in a Knot is IF it comes out of committeeand what it looks like. In the mean time instead of making stupid and hatful comments do spmething constructive and write to your and tell them what you don't like about the bill as it is presently written and stop wasting time on this site. Follow up on the bill if it comes out of committee so you know how it will appear when it comes up for vote and write again. Watch for a Senate bill and do the same thing.

Sara

Please just tell me that every member of Congress, Senators and House Reps, along with all members of our govt. will take furlough days, 15% pay cuts and STOP taking trips to Spain and having $10,000 per plate dinners first!!!! STOP reckless spending and borrowing that we cannot afford! QUIT robbing from the poor to give to the poor! When I see the so-called leaders in our government taking CUTS, then you can start taking my hard earned money! STOP IT NOW!!

Rebecca

Francis Wimpenney

I think that all the special perks that congress enjoys should be elimated. this would help the defecit,and don't forget their pensions. If they would only speak this kind of nonsence when they are running for office they should be vetted for mental illness

Patrick52

I can't believe anyone is naive enough to think this will replace the income tax. This is another socialist redistribution of wealth by this leftist(The Democratic Party is no longer liberal in case you haven't figured it out)government!! Once the camel's nose is under the tent he doesn't go away. Remember, the original income tax started out as 1-2% on the "wealthy". Anyone who can vote for a Leftist, I mean, Democrat deserves the results.